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OFFICIAL RECORD of PROCEEDINGS Thursday, 29 LEGISLATIVE COUNCIL ─ 29 October 2009 697 OFFICIAL RECORD OF PROCEEDINGS Thursday, 29 October 2009 The Council continued to meet at Nine o'clock MEMBERS PRESENT: THE PRESIDENT THE HONOURABLE JASPER TSANG YOK-SING, G.B.S., J.P. THE HONOURABLE ALBERT HO CHUN-YAN IR DR THE HONOURABLE RAYMOND HO CHUNG-TAI, S.B.S., S.B.ST.J., J.P. THE HONOURABLE LEE CHEUK-YAN THE HONOURABLE FRED LI WAH-MING, S.B.S., J.P. DR THE HONOURABLE MARGARET NG THE HONOURABLE JAMES TO KUN-SUN THE HONOURABLE CHEUNG MAN-KWONG THE HONOURABLE CHAN KAM-LAM, S.B.S., J.P. THE HONOURABLE MRS SOPHIE LEUNG LAU YAU-FUN, G.B.S., J.P. THE HONOURABLE LEUNG YIU-CHUNG DR THE HONOURABLE PHILIP WONG YU-HONG, G.B.S. THE HONOURABLE WONG YUNG-KAN, S.B.S., J.P. 698 LEGISLATIVE COUNCIL ─ 29 October 2009 THE HONOURABLE LAU KONG-WAH, J.P. THE HONOURABLE LAU WONG-FAT, G.B.M., G.B.S., J.P. THE HONOURABLE MIRIAM LAU KIN-YEE, G.B.S., J.P. THE HONOURABLE EMILY LAU WAI-HING, J.P. THE HONOURABLE ANDREW CHENG KAR-FOO THE HONOURABLE TAM YIU-CHUNG, G.B.S., J.P. THE HONOURABLE LI FUNG-YING, B.B.S., J.P. THE HONOURABLE TOMMY CHEUNG YU-YAN, S.B.S., J.P. THE HONOURABLE ALBERT CHAN WAI-YIP THE HONOURABLE FREDERICK FUNG KIN-KEE, S.B.S., J.P. THE HONOURABLE AUDREY EU YUET-MEE, S.C., J.P. THE HONOURABLE VINCENT FANG KANG, S.B.S., J.P. THE HONOURABLE WONG KWOK-HING, M.H. THE HONOURABLE LEE WING-TAT DR THE HONOURABLE JOSEPH LEE KOK-LONG, S.B.S., J.P. THE HONOURABLE JEFFREY LAM KIN-FUNG, S.B.S., J.P. THE HONOURABLE ANDREW LEUNG KWAN-YUEN, S.B.S., J.P. THE HONOURABLE ALAN LEONG KAH-KIT, S.C. THE HONOURABLE LEUNG KWOK-HUNG THE HONOURABLE CHEUNG HOK-MING, G.B.S., J.P. LEGISLATIVE COUNCIL ─ 29 October 2009 699 THE HONOURABLE WONG TING-KWONG, B.B.S., J.P. THE HONOURABLE RONNY TONG KA-WAH, S.C. THE HONOURABLE CHIM PUI-CHUNG PROF THE HONOURABLE PATRICK LAU SAU-SHING, S.B.S., J.P. THE HONOURABLE KAM NAI-WAI, M.H. THE HONOURABLE CYD HO SAU-LAN THE HONOURABLE STARRY LEE WAI-KING DR THE HONOURABLE LAM TAI-FAI, B.B.S., J.P. THE HONOURABLE CHAN HAK-KAN THE HONOURABLE PAUL CHAN MO-PO, M.H., J.P. THE HONOURABLE CHAN KIN-POR, J.P. THE HONOURABLE TANYA CHAN DR THE HONOURABLE PRISCILLA LEUNG MEI-FUN THE HONOURABLE CHEUNG KWOK-CHE THE HONOURABLE WONG SING-CHI THE HONOURABLE WONG KWOK-KIN, B.B.S. THE HONOURABLE WONG YUK-MAN THE HONOURABLE IP WAI-MING, M.H. THE HONOURABLE IP KWOK-HIM, G.B.S., J.P. THE HONOURABLE MRS REGINA IP LAU SUK-YEE, G.B.S., J.P. 700 LEGISLATIVE COUNCIL ─ 29 October 2009 DR THE HONOURABLE PAN PEY-CHYOU THE HONOURABLE PAUL TSE WAI-CHUN DR THE HONOURABLE SAMSON TAM WAI-HO, J.P. MEMBERS ABSENT: DR THE HONOURABLE DAVID LI KWOK-PO, G.B.M., G.B.S., J.P. THE HONOURABLE TIMOTHY FOK TSUN-TING, G.B.S., J.P. THE HONOURABLE ABRAHAM SHEK LAI-HIM, S.B.S., J.P. DR THE HONOURABLE LEUNG KA-LAU PUBLIC OFFICERS ATTENDING: THE HONOURABLE HENRY TANG YING-YEN, G.B.M., G.B.S., J.P. THE CHIEF SECRETARY FOR ADMINISTRATION THE HONOURABLE JOHN TSANG CHUN-WAH, J.P. THE FINANCIAL SECRETARY THE HONOURABLE MICHAEL SUEN MING-YEUNG, G.B.S., J.P. SECRETARY FOR EDUCATION THE HONOURABLE STEPHEN LAM SUI-LUNG, G.B.S., J.P. SECRETARY FOR CONSTITUTIONAL AND MAINLAND AFFAIRS THE HONOURABLE AMBROSE LEE SIU-KWONG, G.B.S., I.D.S.M., J.P. SECRETARY FOR SECURITY DR THE HONOURABLE YORK CHOW YAT-NGOK, G.B.S., J.P. SECRETARY FOR FOOD AND HEALTH LEGISLATIVE COUNCIL ─ 29 October 2009 701 THE HONOURABLE TSANG TAK-SING, J.P. SECRETARY FOR HOME AFFAIRS THE HONOURABLE MATTHEW CHEUNG KIN-CHUNG, G.B.S., J.P. SECRETARY FOR LABOUR AND WELFARE MS JULIA LEUNG FUNG-YEE, J.P. SECRETARY FOR FINANCIAL SERVICES AND THE TREASURY THE HONOURABLE EDWARD YAU TANG-WAH, J.P. SECRETARY FOR THE ENVIRONMENT THE HONOURABLE EVA CHENG, J.P. SECRETARY FOR TRANSPORT AND HOUSING THE HONOURABLE MRS RITA LAU NG WAI-LAN, J.P. SECRETARY FOR COMMERCE AND ECONOMIC DEVELOPMENT MR GREGORY SO KAM-LEUNG, J.P. UNDER SECRETARY FOR COMMERCE AND ECONOMIC DEVELOPMENT MS FLORENCE HUI HIU-FAI, J.P. UNDER SECRETARY FOR HOME AFFAIRS CLERKS IN ATTENDANCE: MS PAULINE NG MAN-WAH, SECRETARY GENERAL MRS VIVIAN KAM NG LAI-MAN, ASSISTANT SECRETARY GENERAL MRS JUSTINA LAM CHENG BO-LING, ASSISTANT SECRETARY GENERAL MRS PERCY MA, ASSISTANT SECRETARY GENERAL 702 LEGISLATIVE COUNCIL ─ 29 October 2009 PRESIDENT (in Cantonese): Good morning, Members. Council shall now resume the meeting and continue with the debate on the first session of the Motion of Thanks. Does any Member wish to speak? MEMBERS' MOTIONS MOTION OF THANKS Continuation of debate on motion which was moved on 28 October 2009 MR ALAN LEONG (in Cantonese): President, good morning. One of the foci of our discussion in this session is of course economic development. What do good economic conditions refer to? President, it is not simply about elevating the Gross Domestic Product. The most important thing is to enable members of the public to lead a better life and upgrade their standard of living. However, a review of this policy address has revealed a complete absence of far-sighted views in this regard. Even the six industries, highlighted therein, are distant water that cannot put out a nearby fire, and they are hollow and devoid of any substance. For these reasons, this policy address has inevitably left a very bad impression on the public. President, people's livelihood is a good indicator of the economic situation. In Hong Kong, high land price is the most critical factor affecting people's livelihood. The public may not be aware or able to feel that our daily living is actually under the impact of the high land-price policy. In order to make mortgage repayments, we may have to sacrifice the time for sleeping, listening to music, bringing our creativity into play or getting together with our family members. In fact, this policy affects every aspect of the living of the Hong Kong public. The effective implementation of the high land-price policy will enable sufficient revenue to be channelled to the public coffers and other taxes to be reduced, so taxpayers are actually paying an indirect tax instead of direct tax. This can be a possible situation and the existence of this high land-price policy can on this count be justified. However, when making an observation of the development in recent years, President, Members may only notice that property developers have been able to reap colossal profits, but not much revenue has been generated for the public coffers. Figures indicate that over the past 20 months, LEGISLATIVE COUNCIL ─ 29 October 2009 703 property developers have not triggered any land for auction, apart from two tiny lots. Another point is about flats with "inflated" saleable area. President, I recently supported an organization known as Green Sense in conducting a study on flats with "inflated" saleable area. The findings of the study are pretty shocking. Having reviewed the sales brochures, the Buildings Department's Monthly Digests and plans of the new housing estates completed in 2001 and thereafter, we found that insofar as the 302 property development projects are concerned, the gross floor area exemption granted for such facilities as environmentally-friendly balconies, utility platforms, precast segments or extended lift lobbies, stands at 10 million sq ft and that means the "inflation rate" is almost 5% on average. The exempted gross floor area could actually be translated into $53.5 billion at the market price back then. In other words, the public coffers suffered a revenue loss of $53.5 billion. Recently, President, we have certainly noted that the 44th floor of a residential building was designated as the 88th floor. We have urged the Government over all these years to legislate on regulating the method of calculating the saleable area of flats. If a flat to be purchased measures 1 300 sq ft, how can it be 1 300 sq ft in name only and measures 750 sq ft in actuality? There has been no progress at all in this regard. Perhaps the Government has also sensed something inappropriate as well since the implementation of this high land-price policy has resulted in such a situation, so it has rallied the property developers and reprimanded them. However, it is suggested that the Government's move only amounts to verbal coercion. Nevertheless, President, in the long run, if our Government is far-sighted, it may really have to consider whether or not it is now time to conduct a review, given the failure of the high land-price policy to operate according to its original intention and its great impact on members of the public in lowering their standard of living. I certainly understand that conducting a review of the high land-price policy is not a simple task. The Government has to consider which industrial structure can make up for the loss of revenue suffered by the public coffers in the absence of this policy. Or, regarding those members of the public who own properties, the Government has to think about how it can achieve a soft landing for the value of their properties.
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